Charity number.. 1198414 Hlgh Level INortheml Trust CIO REPORT AND FINANCIAL STATEMENTS FOR THE PERIOD ENDED 3110312025 High Levgl {Northernl Trust CIO FINANCIAL STATEMENTS FOR THE PERIOO ENDED 3110312025 TRUSTEES Stephen Duckworth Ichaimianl Russell Morley Jane Young Nasim Ashral (Secretary) Stuart Bromley ITreasurerl David Chorlton Caroline Page REGISTERED OFFICE Champness Hall Drake Street Rochdaltr Lan¢a8hire OL16 1PB CHARITY NUMBER 1198414 INDEPENDENT EXAMINER David Gibson ACA Gibsons Ac¢ounlan¢8 Ltd Chartered Accountants 226 Oldharn Road Rochdale Lancashire OL112ER BANKERS HSBC 2 Yorkshire Streel Rochdale OL16 1EE page 1 High Level (Northeml Tr￿1 CIO ACCOUNTS FOR THE PERIOD ENDED 3110312025 CONTENTS Page Report ofthe Trust89$ 3to8 Independent Examine¢s Stalemenl Slalement of Finan¢i81 Acb"vilies Balance Sha¢1 Noles lo the Accounts 10t016 page 2 High Level INortheml Trust A charitab￿ Incorporatsd Organl$ation TRUSTEES. REPORT FOR THE PERIOD ENDED 3110312025 The trusteès presenl their report and ac4ounts for the peric*J ended 31103r2025 STRUCTURE GOVERNANCE AND MANAGEMENT The charity was originally formed as High Level (Northeml Trust charity number 11￿99 in 2002 and w85 transferred to a CIO charity number 1198414 during 2022. Govemill document The organisalion is a Charitable Incorporated Organisation incorpofated on 291n March 2022. The Charity was established under a Foundation Model Constitution which establishes the obje¢tsves and powers ol the charitable organi$alion and 15 governed under its constitutKJn. ointm ofT Apart from Ihe first charity Iruslees, every trustee must be appty.nted lor a term of three years by a resolution passèd at a proparly convened meeting of Ihe charty trustees. In sejecting individuals for appointment as charity trustees. the charily Iruslees musl have regard to the skills, knowledge and experience needed lor the effectiv6 administration of Ihe CIO. The Trustees are made up of m¥mbers from a broad skills base including a lotsl businessrnan, service users, councillors. other professionals and probation and prison workers. Due lo the nature of drug abuse. we try lo ensurè the needs ol our client¢le is reflected by inviting members who have &xperienc*of ihe effe¢ls of 6ubst8n¢e Use either personalty or profes$ionalty. The Iruslees who h¥ve serv•d during the period are $¢t out on page 1. Or The trustees meei b￿mOnthty to di$¢uss wrth key staff and deal wrth the administration ol the charity encompassing the slraleglc Vlsion, financial accountability and risk management. The operational management of the organisation is und&rtaken by the CEO Mi Callum Jones who works closely with the 808rd of Trusta•$. isk mana ement The Trustee5 have conducted a rèview ol the major risks io wthich Ihe chanty is exposed and systems have been established lo mitigaie Ihose risks. These indude the irnplementstion of procedures for authorisation ol all Iransa¢tion5 and projects and for ensuring the consistent qualrty of the delivery of all operational aspects ol the charrtable organisalKsn. These procedures are periodic81ty reviewed lo ensure that they still meel the needs of the charity FINANCIAL REVIEW The results of the period and the charity's financial position at the end of the period a￿ shown in the attached financi81 slalements. During the pèriod the Charity had incomè of £356.826 12024 £281,666) and èxpendrture was £300,67212024 £242.8191 re5LJlting in a surplus of £56,15412024 £38.8471 Reserves The ttustees have a strategy to continue to build reserves Ihrough planned operaling surpjuses in order to ensure the continued aclivities of the company in limes of radw*d inGorne. page 3 Hlgh Lèvèl INorth•rnl Trust A Charitable In¢orpor4t•d I￿￿nISatiOn TRUSTEES. REPORT FOR THE PERIOD ENDED 3110312025 PUBLIC BENEFIT STATEMENT The Trustees have had due regard to the Charity Commission's gwdance on public benefit when reviewing the charity's objectives and planning ts ftrture activities. This annual repori will aim to deTr￿nstrate the link befvleen our ¢harilable activity and how Ihis benefits our service users. The objectives ol the charitable incorporale(l organisatKJn ICIOI are:. -The relief ¢f sickness and the rehabilrtation of those suffenng from any kn'nd of addiction or stress felaled illness througtt ho115tic therapeutic trealmenls. Th8 strategies employed to assist the charity lo meet these objectives indude the lollowing:_ . To provide accuralg, appropriate and factual inlormathon- . To provide advice, support and signFosling lo rdevant ag8nci•s- - To provide Supportive rneasufes to eftab￿ substance usws lo achieve a saf¥ ¥nd drug free lrfestyl¥,' - To provide supportive measur¥$ for harm reduction an*J for accessing hèalth and social care; - To provKle advice and support to improve overall personal. ￿K4a1 and lamity fiJnctioning.' To provide holistic and Iherapeu1￿ inleThenlions.' . To provide information about other se￿IceS and lo refer where appropria￿., - To provide group work Wd8KJns- - To provide a packagg 01 Interveni￿nS delivwe(l in Ihe contexl of ¥ ¢aTe plan wth regul8r key workin9. Thi$ will in¢lLJde a range of interveniK>ns to address sub$lance use l e.g. ha￿ reducts'on intèrventions, brief intervenlioris nd support lo address olher needs su¢h as housing support, child care suppon, job Seeking etcl,. - Working in partnership with other agencies to 8n$ure Ihe W￿est range of seThicAs ate avai18ble to meet dienls needs. ACHIEVEMENTS AND PERFORMANCE Overvièw The main areas ol charitable activrty a￿ Ihe provision of OF￿ access day care for people wth a(Jdictions. The centre runs a lull lirnetablo for groups. 1-1 sessional work and thwapies wth an aim lo support service useis in recovery from substance use and other add￿tIVe behaviourB. page 4 High Level (Northeml Try￿t A Charitable Incorporat￿ I￿￿nIsatIOn TRUSTEES. REPORT FOR THE PERIOD ENDEO 3110312025 Impact We have completed our end ol year evaluabon which has I[￿￿ded a questionnaire distn"buted to our sèrvice Users. telephone Interviews and a review of all ol our monitoring dala. We have provided our quantitstive analysis of our impact 8gainst targets in Ihe tsble below. To 270 people engaged overall, 200 people supported at8n one time 60Vo of 1nd￿vIdUal$ will report that they no lorKJer useldrink dependenlly Idailyl lor al least 6 months or more andlor continue to receive support from the ro ramme". 600h of individuals wilh addiction i55ues will report reduced feelings of anxiety or depresS￿n., 685 individuals have been engaged oin caseload- 313 as at 31st March 2025 reported that they no longer usedldrank dependenty 7% of individuals have reported improved anxiety 71% of indrviduals have reportod ¢mproved de ression 67% of individuals have reporled improved anger 60V/¢ of individuals with addiction iss¢Jes will report itnproved an improvgd ability to manage Iheii anger.. eOQ/o ol individuals will r8port improved relationshi s with famil members andlor lriends.. 60¢/0 ol individuals will report increased access to support wh￿h alleviate$ the impacts of social $0181ion 60¢/ts ol individuals will report in¢reased access to support lo help them maintain 900<1 levels of heatth and wellbein 69% ServirE Users have reported that they have had roved relationshi $ wilh friend5 and famil 79% 01 survey respondents reported reduced londiness and isolation. 76% said Ihey had better access to services 01 the 334 Strrvice User3 who moved on from the service this year. 76% successfvlly e4)mpleled ITeatmenl with us. FUTURE PLANS Funding lor 2025126 has téeft secured as folbws:_ National Lottery Community fund £86.373 Henry Smith Charity £60.OC(I Lloyds Bank Foundation £25,C RMBC £94,980 Martin Geddes Charitable Trust £l0,IJ)o UKH Foundation £10,0(Kl Eleanor Peel Foundation £5,CQO Garfield Weston £2.320 Action Together £32.780 Other funding sources are t*ing 50ughl. Page 5 High Level INortheml Trust A Charitable Incorporated Organisation TRUSTEES REPORT FOR THE PERIOD ENDED 3110312025 STATEMENT OF TRUSTEES RESPONSIBILITIES The Trusltses are responsible fof prèparing the Twstees. Ann(bal Report and the financial slalements in acctsidanGe with Ihe applicable law and UK GAAP. Charity Law requires the l¥uslees to prepare financial statement5 lor each financial yèar which give a view ol Ihts slate of affairs olthe charitable incorporated organisation and ol incoming resour¢05 and application of resources, including the Income and expenditure ol the charitsble iworalion lor that year. In preparing Ihtsse financial statements th$ Iru5tee8 are required lo.. salecl suitable accounting polioe$ and then apF4y ihem o)n$i$lenYy.' - obs&r¥e the methods and principles in the Charities SORP., make judg8m•ntS 8nd èstimales that are reasona￿• and p￿den1'. . State whether applicable accounting standards have b￿n followed. subpcl lo any material departures disclosed 8nd explained In the financial stalements., and prepare the financial slaiem&nl$ on the going concem basi$ un1è66 rt is appropriate lo presume that the charitable Company wll continue in operalicfj. The Trustees are responsible lor keeping proper a¢¢ounling records which disclose wrth reasonable accuracy al any lime the finanual position ol the charitable Company and whi¢h enable Ihern lo ensure that Ihe financial statements comply with the Companies Act 2011 They are also lesponsit￿e for safeguardin9 the assets ol the charilable company ¥rxl hence lor taking féasonable sleps for th8 prnv*ntion and d8tection of fraud and other This report Was approved by Ihe Board ofTrustees on 2910sr2025 and signed on their bghalf by.. Stephen Duckworth (Chairman) page 6 High Level (Northeml Trust A Charital￿e Incorpornted Organisation INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES FOR THE PERIOD ENDED 3110312025 I report on the financial staternen15 of High Level (Northem) Twst CIO for the period ended 31° March 2025, which are set out on pages 8 to 16. RESPECTIVE RESPONSIBILITIES OF TRUSTEES AND EXAMINER The charily's trustees are responsible for the preparation of the accounls. The trustee5 consider that an audit is not required lor this year under section 144121 ol the Charities Act 2011 lthe 2011 Act) and that an independent examination is needed. The charrty's gross income exceeded £250.(￿ and l am qualified tg undertake the examination by being a qualified member of ICAEW. Having satisfied myself Ihat the charity 1$ not Subject to an audil and is eligible lor indepondenl examinatKin. it is my responsibility to.. . examine the accounts un(l¥r $¢¢tion 145 of Ihe Charities Ad, follow the Pr￿edUreS laid down in the general Dire¢bon$ 9iv¥n by the Charty Commission (under soclitsn 1451Sllbl ol the Charities Acll.. and - stale whether part￿u￿r matters have lo my altention. BASIS OF INDEPENOENT EXAMINERS STATEMENT My examination was carried out in a¢¢oidance with general Directions given by Charity Commission. An examination includes a reviaw of the a¢¢ounliThJ records kepl by the Charity and a comparison of the accounts presented with those records. 11 also in¢ludes consideration ol any unusual item5 or disclosu￿$ in the accounts 8nd seeking explanations from you as Iruslees concemiro any such mattefs. The procedures undertaken do noi provide all the evidence that would be required in an audrt, and conseouenlly no opinion is given as to whglher the accounts pr¥s&nl a 'lrn￿ and Iwr vievf and the report is limited lo those matters s¢t OLbl in Ihe slalemenl below. INDEPENDENT EXAMINERS STATEMENT In connection with my &xamination. no matter has cc¥ne to my att•nkn"on which gives me cause to believe thal in, any material respect.. the accounting rècords were nol kept in accordance with Section 130 01 the Charitiès Act,. or the accounts did not accord wth the accountin9 record5'. or the accoun15 did nol com wilh the applicable reqU1￿MentS conceming tre forrn and content ol accounts Sel oul in the Charities IAccounts and Reporlsl Regulations 2008 othei Ihan any requirement Ihal the accounts give a.true and fairf view wh￿h is nol a matter ¢on5idered as part of an independent &xamination. I have come across no other malters in connection with the examinaiion lo wh￿h attent￿fi Should be drawn in this report in ordèi lo enable a proper understan¢Jing of the accounts lo be reache(J. D8vid Gibson ACA Gib50ns Accountants Ltd 226 Oldham Road Rochdale OL112ER Oale ." 2910512025 page 7 High L•vel INorthtrrn) Trust CIO Statement of Financial Activities for th* year endèd 311031202S 2025 Totsl 2024 note Unr•$tricted fund¥ Restri¢ted fund# Total Income Donations and legacies Charilable aclivilies Grants Total Incom• and endowm¢nts Expens•s Costs ol raising funds Expenditure on Charitable activib8s Total Expgn8e8 4.214 66,758 70,972 4,214 2,617 285.854 352,612 279,049 285,854 356,826 281.666 5,459 20.499 25,958 5,459 2,500 274,714 295,213 240,319 274,714 300.672 242,819 N•t Income 4S,014 11.140 56.154 38,847 N•t movem•nt In fund8: Net Income lor the y•8r T0181 funds brought lO￿ard Net funds carrièd forward 45.014 82.672 127,686 11,140 58,154 38,847 19,558 102,230 63,383 30,698 158,384 102,230 This statement ol financial actNil*3 indude$ all gains and losses cwised in the year. All income and ex￿n￿rture derive from conttnuing activitses. The notes forni an integral part ol these ac¢ounts. page 8 High Level {Northeml Trust CIO BALANCE SHEET AT 3110312025 2025 2024 Nots CURRENT ASSETS Debtors lamount5 falling due within one year) Cash at bank and in hand 1.297 147,529 148.820 46,590 224.189 224.557 66,173 CREDITORS: Amounts falling due wthin year NET CURRENT ASSETS TOTAL ASSETS LESS CURRENT LIABIUTIES 10 158,384 158,384 102.230 102,230 CAPITAL ANO RESERVES Unmtrlcted funth Unreslricled incom6 fttnds Unrestricted designated lynd8 Restricted funds 11 79.9)7 47.779 30.698 158.384 69,068 13,604 19,558 102.230 12 Approvèd by the l)oard oftruStfj￿ on 291051202S and Jign￿ on thelr ￿h•ll by Stuart Bromltry page 9 High Level INorth•ml Tnmt CIO NOTES TO THE ACCOUNTS FOR THE PERIOD ENDED 3110312025 1. ACCOUNTING POLICIES la. Basis of Accountln9 These accounts have been prepared under ihe hi$lon¢al cost convention vrtth rttrms recognised at ￿$1 or transaction value unless Othe￿iSe slated in thè ￿leVant noles to these accounts. Th8 ae¢ount5 have been prepared in accordance with AcLounting and Rewting by Charitio$". Slalemenl of Recommended Practice applicable lo ¢harilies preparing theic a¢¢ounts in accordance with the Financial Rèporting Standard applicable in thè UK and Republic of Ireland IFRS 1021 leffects've l January 20151- Charitie5 SORP IFRS 1021. the Finanual Rèporting Standard ap￿￿ble in the UK and Republic of Ireland IFRS 1021 and the Charities Act 2011. High Level (Northeml Trust CIO meets thè definibon of a puNi¢ benefit entity under FRS 102. Preparatlon of th• •¢¢¢unts on a golng conc•rn ba$1• The charity reported total ynrestri¢ted lunds al the year-end of £127.686 and has already secured a significant arnounl of funding for the c￿r￿n1 year. The Injstees are ol the view that the immediate future ol the charity for the next 12 10 18 months is secure and that on this b83lS the charity is a going ¢oncem. 1 b. Incomlng A￿Our¢e* All in¢omin9 resources are included on Ihe Statemenl of Financial A¢b"viti'es when the chanty is legally entitled lo the in¢ome and the amounl can be quanbfied with reasonable a￿urKY. Voluntary incorne is received by way tsl donations and gifts and is included in fvll in the stslement of Financial Activities when receivable. Income from govemment and other granls, whelher'caprtal. grants or'revenue, gcants, is recognised whèn the charity has entitlement to the funds. any perfomian¢e condrtions attached to Ihe granls have been mgt, rt 1$ probable that the incomè will be received and Ihe amount can be measured ￿liablY and is not deferred. Income Teceived in advan¢e of the prowsion ol a $peufied service is defeffed until Ihe criteria of income recognition are met. 1c. R•8¢U￿e¥ Expended Expènditure 15 accounted for on an a¢cru8ls basis and has be8n d8s5ified under headings that aggregate all cost related lo the category. Where costs cannot be dir*cly attributed to part￿￿lar headings they have all(Kaled to activities on a basis consislenl wilh the use ol ￿$oUrCes. The Charity is not reg¥stèred for VAT. thus all costs are shrywn indusive of VAT charged. 1d. Allocation and Apportlonmènt of Costs All c05t5 relate to the single activity of the chanty and are recognised ¥cordingly. page 10 High Level INorthern} Trust CIO 18. Fund Accountlng Unie5tricled funds can be used in accordance ￿th the charitable objecbves al Ihè discretion of thè trustees. Restricled funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when fvnds are raised lor parb'cular restricted purposes. Desi9nated funds are funds set aside by the tnjstees out of unrestricted general lunds for the spea'fic futur purposes or pr()iect$. 1f. CaBh Flow Slatwnent FRS 1 The company has taken advantage ofthe exemption in the charit￿s SORP IFRS1021 from induding a statement ol cash flows in its accounts 19. Pon$ion Costs The company op¥ratèS 8 defin8d contribubon pension sthenw. The pension charg$ represents the amounts payable by the company to the fund in resrt ol th& year. page11 High Level (Northeml Trust CIO NOTES TO THE ACCOUNTS FOR THE PERIOD ENDED 3110312025 ANALYSIS OF INCOME UnreBtricted lunds Restricted funds Total 2025 Total 2024 2 Donations and legacies Donations 1,405 1,405 1,712 East lo wesl sponsored walk Room hire Charity events 905 150 2,659 4,214 150 2.659 4,214 2,677 3 Charitable aetlvltl•$ Incomè from Grants National Lollery Cornmunily Fun 77.252 77,252 81,377 National Lottery Know your Neighbourhood RMBC Fundin9 on costs RMBC luiiding Salary RMBC Funding Wellbeing Henry Smith Charity Rank Foundation Gorflgld Weston Foundation 22,384 22.384 10,400 74,180 10,400 22.384 5,670 27,400 15,400 60,000 15,000 20,000 10,4CQ 74,180 10.400 20.0 20,COJ 18,958 Aw8rds For All Screwfix foundation UKH Foundaiion 18.958 10.LK 10, 10.CQO 10.000 Martin Geddès Trust Eleanor Peel Trust Action Together Action logÈlher- atten¢Jan¢& fee Lloyds Foundation 2,280 2,280 500 26.258 66,758 26,258 352,612 31.818 279.049 285,854 Total income 285 854 356 826 281666 Page 12 High Level (Northern) Trust CIO NOTES TO THE ACCOUNTS FOR THE PERIOD ENDED 3110112025 ANALYSIS OF EXPENDITURE ON CHARITABLE ACTIVITIES Unrn8tslet•d funds R•8trlet•d fund8 Total 2025 Totsl 2024 Raising lunds Fundraising costs 5.459 5.459 5.459 5.459 2. 500 2, 500 Unrn•thct•d fund• R•8trlet•d fund• Total 2025 Total 2024 Charltablo actlvltie8 Dlre¢t Costs Hygien8 & Toiletri8S Therapist costs Staff Trainin9 Insuranc T•laph¢ne & internat rravel Costs Cleaning Printing, 5ts1ionery & post898 Food provisions Client trips & a￿1VIlle9 Volunteer costs Advertising & gvent costs Water Heat & light Rent Repairs and renewals General wagè$ NIC employer Iwagas and Salaries) Pension contributions IT Support Subscriptions Professional fee5 rnonilonng & avaluation 8ank charges Sundry expenses Governance Costs Ac¢ounlancy & payroll Independent examiners fee 16 1.403 16.31x1 1,419 16,300 24 1.43S 2.540 474 121 15, 167 2.384 1,523 877 564 331 1,441 1.088 2,057 T05 24 31 1,593 1C 1.401 374 445 545 23 492 937 263 1.597 1.597 3.182 193 2,192 9,000 t.221 178. 73Q 11,245 4.170 7,464 684 3,332 58 482 1,632 2.618 8.650 162 5.076 325 30.229 1￿,280 14.132 4.239 782 30.391 195,358 14,457 4,317 78 782 336 4Crf) 4.9QX) 37 57 119 262 878 720 1,140 720 295.213 1,080 720 240,379 Page 13 Hlgh Lovel (Northeml Trust CIO 6. FEE PAID FOR EXAMINATION OF THE ACCOUNTS 2025 2024 Independent examiners fees lor reporting on the accounts Payroll and accountancy lee5 paid to the examinor 720 720 There were no other fees paid lo the examiner. 7. ANALYSIS OF STAFF COSTS AND THE COST OF KEY MAhtAGEMENT PERSONNEL Employee costs during the year amounted lo.. 2025 2024 Wages and salarie$ Social security costs PenS￿n costs 195, 14.457 178. 130 11,245 The av&r8ge number of employ98$ weie:. Activities in lurther8nce ol the charty's objeclives No employee received remuneration in excess ol £￿.C￿￿. The Charity operates a defined ¢onlribution pension s¢heffje. The employets pension costs f¢presenl contribution$ payable by the charity lo the fund. . CORPORATION TAX The charity is exempt from tax on income and gains falling wrthin 5ecbon 505 01 the Taxes Act 1988 or section 252 of thg Taxation of Chargeable Gains Acl 1992 to the extent that these are applied to rts charilable objects'ves. 9. DEBTORS 2025 2024 Amounts falling due ￿thIn one year.. Trade debtors Prepayrnents 892 399 page 14 High Lèvel {Northeml Trust CIO 10. CREOITORS.. AMOUNTS FALLING DUE WiTHIN ONE YEAR 2025 2024 Ac¢ruals Deferred income 64.313 66,173 61.089 11. ANALYSIS OF MOVEMENTS IN UNRESTRICTED FUNDS 8rought forward Incoming rnsources T￿our¢ Outgolng Carrièd forward Transfers General fund 69.￿8 4.214 20.￿ 10,COJ 10,CO) (6.9791 {18,4791 13.604 79,907 1,521 10,000 10,000 Gartield Weston Foundabon Martin Geddes Trust UKH Foundation Action together attendance fee LloydB Foundation {50JI 13.604 82.672 26.258 74.972 113.6041 26.258 127,686 125.9581 Garfield Weston FouThJatson award is for Ihe overall budget of High Level (Northeml Trust CIO Martin Geddes Twsl will be used lo fund siaff costs. UKH Foundation funding will be used to fvnd general ex￿￿￿. Action together attendancè lee was for stsff costs in attending meetings. Lloyds Foundation award is lor Ihe overall budget ol High Level INortheml Trust CIO 12. ANALYSIS OF MOVEMENTS IN RESTRICTED FUNDS Brought forward In¢omlng our¢ Outgolng r•8ources Transfgr Carriod forward Henry Smith Chanty Awards for All 4,703 155.3871 118.9431 194.7251 9.316 18,958 RMBC Funding National Lottery KYN 5,189 8,296 22,384 129.5151 1,165 Eleanor Peel Trust S¢rewfix Foundation Action togethèr Gr8nt 15,Cl)O} 15.Cl)O) 2.280 (1,8101 870 National Lottery Community Fund 1,370 77,252 164,5341 14,088 19.558 285,854 1274,7141 30,698 page 15 Hlgh Lèvel INorthÈm} Trust CIO Purpose of restricted fund Restricted funds ￿present Ir￿ome reS￿j[ceS used for specific purpose wthin Ihe charty as identified by the donor. Henry Smith Charlty Th8 Henry Srnilh Charty fvnded staff costs. Award¥ for All The Awards for all fundeurhood The funding w8s for staff salaries, volunleers, travel costs wd general expen8es. Eleanor Peel Trust The Elanor Peel tru$1 lunding 1$ lor r&pairing and up9rading the charibo$ fxilits"•$. Ser•wllx loundatlon The funding was lor ¥epwr8 and mainlen8nce. A¢tion Tog•th•r grant The funding wa5 lor hygiene and loilelries and a contribulion towards staff wages. National Lottery Communlty Fund This funding was for staff costs. therapist costs. running ￿$ts. monitoring ond evaluation costs and training. 13. OTHER FINANCIAL COMMITMENTS AI 3110312025 the charsty had no capital commthnts. 14. TRUSTEES EXPENSES No Tru¥t8e •xpense¥ have been incurred. page 16